An Isle of Man Pension for Isle of Man Residents

The ‘Balley Chashtal SIPP’ (BC SIPP) is an Isle of Man Self-Invested Personal Pension (SIPP) available to Isle of Man residents.

The dual approved status of the scheme means it can provide benefits under the Isle of Man Pension Freedom Schemes (PFS) as well as being able to accept transfers from other Isle of Man pension schemes if required.

If you are an Isle of Man resident with UK pension scheme(s), the BC SIPP can also provide an effective solution for the transfer of your UK pension scheme(s) to an Isle of Man pension scheme.

BC SIPP (PFS) - For New Contributions 

For individuals looking to save towards their retirement, contributions can be made into the PFS section of BC SIPP, providing the following advantages:

  • Pension Flexibility: freedom to take income at a level of your choosing, payable on a regular basis or via ad-hoc withdrawals, with a minimum drawdown age of 55 and no maximum age from which benefits must be taken
  • Succession Planning: the residual fund on death can be used to provide a taxable pension income for a spouse or dependant, or can be paid out as a lump sum (with no Isle of Man tax due on this distribution)
  • Pension Commencement Lump Sum (PCLS): ability to take a lump sum of up to 40% of your accumulated fund value on or after the age of 55, free of Isle of Man tax
  • Investment Choice: a wide range of assets are available (including collective investment funds, direct equity, bonds etc.) held primarily through investment platforms from a range of leading providers
  • Tax Efficient Accumulation: generous annual contribution limit of £50,000 with tax relief available on contributions equating to 100% of Isle of Man Relevant Earnings, and gross investment roll-up

BC SIPP (1989) – For Consolidation of Existing Pension Plans

For Isle of Man individuals with funds held within existing Isle of Man pension plans that are not under the PFS regime, transfers can be made into the 1989 section of BC SIPP. As there is a 10% Treasury charge to transfer these funds to a PFS, this means consolidation of previous pensions can be achieved without this charge.

As BC SIPP is notified to HMRC as a QROPS, it can also accept transfers from UK registered pension schemes, enabling Isle of Man residents to consolidate all previously accumulated pensions into one place.

BC SIPP (1989) offers the same investment choice and tax efficient accumulation features as BC SIPP (PFS) but with the following differences:

  • A lower Pension Commencement Lump Sum of 30% of accumulated fund value, free of Isle of Man tax
  • Ability to access the fund to draw benefits from as early as age 50
  • Taxable pension income to be taken in a sustainable format for life, with a capped annual drawdown limit and a requirement to draw a minimum pension each year from age 75 onwards
  • Tax of 7.5% due on a lump sum distribution of the residual fund to nominated beneficiaries in the event of death (where death of member occurs post benefits in payment)

Please note: where your fund within BC SIPP contains UK sourced funds following the transfer of UK registered pension scheme(s), there are additional considerations and extra restrictions may apply.

Bespoke SIPP

If your requirements for an Isle of Man pension are more specific or your preferred investments more sophisticated, we will work with you, and your adviser, to create a bespoke Isle of Man SIPP, tailored to your individual needs as an Isle of Man resident. 


Isle of Man

Boal & Co was established in the Isle of Man in 1995 by Gary Boal as an insurance consulting and pension services business, before branching out into pension trusteeship and administration in 1997.

Following the introduction of formal pensions regulation under the Retirement Benefits Schemes Act (2000), Boal & Co (Pensions) Limited became licensed as a Professional Retirement Benefits Schemes Administrator with the Isle of Man Financial Services Authority.

To this day the Island remains as Boal & Co's Headquarters.

The Isle of Man, over the last 25 years, has developed into one of the largest and well-respected international finance centres, attested to by international bodies including the International Monetary Fund (IMF) and the Organisation for Economic Development (OECD). With proven success as a strong base for insurance companies, banks, retirement benefit schemes and emerging technologies, the Isle of Man has firmly established itself on the world stage as a globally recognised jurisdiction for international financial services.

Widely regarded as a centre of excellence for pension scheme services, the Isle of Man with its unique, flexible but robust regulation of both domestic and international retirement benefit schemes, offers individuals, companies, multinational corporations and their advisors an unequivocal jurisdiction for retirement savings schemes and pension plans. With several dominant leaders in this sector, the Isle of Man offers all services required by clients and advisors through professional, locally established companies with global reach.

Some of the world’s largest companies have chosen the Isle of Man as a domicile for their expatriate retirement plans, built on the robust yet highly flexible legislation allowing scheme designers to tailor solutions to the requirements of the client.